Medical Association Criticizes national Assembly Report on Healthcare Costs
Seoul, south Korea – The Korean Medical Association (KMA) has issued a strong critique of a recent report from the National Assembly Future Institute concerning the control of non-benefit healthcare services and actual loss insurance.the KMA argues the report unfairly places blame on the medical community while overlooking systemic issues driving rising healthcare costs.
The report identifies the expansion of non-covered medical services, concurrent treatment practices (parallel treatment), and generous actual loss insurance structures as key threats to the financial stability of the national health insurance system. While acknowledging these concerns, the KMA contends the report’s analysis is biased, attributing the problems solely to medical institutions seeking profit maximization and conflicts with professional autonomy.
According to the KMA, the root cause of the growth in non-covered services lies in the government’s long-standing policy of low reimbursement rates for covered procedures. Medical institutions, operating at a loss under current fee structures, are compelled to offer non-covered treatments to maintain financial viability. The KMA insists that realistic fee schedules are a prerequisite to any effective control of non-covered services.
The KMA also expressed concern over proposed restrictions on concurrent treatment. They argue that prohibiting patients from receiving both covered and non-covered services within the same facility could limit patient choice and hinder access to care, particularly for the elderly and those with chronic conditions who benefit from continuity of treatment.They highlight that the current system of allowing parallel treatment has contributed to high accessibility and efficiency within the Korean healthcare system.
The association supports a gradual expansion of coverage for non-covered services with demonstrated medical necessity, but stresses this must be approached cautiously. Any such expansion requires thorough public debate, scientific verification, and a comprehensive plan to ensure financial sustainability. furthermore, the KMA warns that simply restricting non-covered services without addressing underlying issues could lead to a “balloon effect,” resulting in the emergence of new, unregulated non-covered treatments.
the KMA emphasizes the need to address fundamental structural problems within the insurance system,including flaws in insurance product design and the inadequate compensation for actual costs,before focusing on controlling non-covered services.
Source: MediGate News report dated November 6th.